As expected, Mayor Michael Bloomberg has vetoed the Outsourcing Accountability Act. The measure, passed by the City Council last month, would subject city contracts to a kind of cost-benefit analysis and require agencies to publicly disclose what services they plan to contract out in the coming year.

The veto represents the latest in an escalating fight over the city’s growing contract budget between the Bloomberg administration on the one hand and City Council members and municipal employee unions on the other. As city spending on the contracts has increased, a number of scandals have erupted, particularly with technology contracts.

The mayor, however, has said contracts help cut costs and reduce government efficiency. “To put impediments to us getting the best deal for the taxpayers particularly during this economy is something we can not tolerate. We are just not going to have this bill,” Bloomberg said after it passed.

In her statement on the veto, though, Council Speaker Christine Quinn said the measure would save money. “The council simply wants city agencies to consider costs and thoughtfully review decisions to outsource,” she said. “These tough economic times demand nothing less.”

Since the bill passed unanimously, the council has the votes to override the veto. Bloomberg, though, has said he thinks the measure could be unconstitutional, meaning the whole issue could end up in the courts.

3 Responses to “Mayor Vetoes Contract Bill”

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